Optimum Leverage Ratio

Optimum Leverage Ratio

The borrowing level that maximizes the value of the firm. The cost of capital to the firm is minimized at that same level.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Optimum Leverage Ratio

The debt-asset ratio that allows a company to achieve the highest possible return without taking on excessive risk. The optimum leverage ratio minimizes the cost of capital without acquiring a high possibility of default.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
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The machine produces top of the line windings thanks to a traverse mechanism with circumference-dependent image interference, whilst ball tracks and compression cylinders with optimum leverage ratios produce wound packages having a perfectly parallel build.
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